Policy for Divestment
November 4, 2025 2025-11-04 11:17Policy for Divestment
Policy for Divestment
| Approved | Board of Management on 12th January 2019 |
| Notification | Notified by Registrar vide notification No. SRHU/Reg/OO/2019-04 (i) dated 15th January 2019 |
| Reviewed / Revised | Board of Management on 29th March 2022 |
| Notification | Notified by Registrar vide notification No. SRHU/Reg/OO/2022-58 (i) dated 5th April 2022 |
| Next Review | 2025–26 |
- Short Title & Commencement
- This Policy shall be called the “Policy for Divestment” of Swami Rama Himalayan University.
- This Policy shall be deemed to have come into force from the date of approval of the Board of Management of the University.
- Purpose
- To ensure that the institution’s investments align with principles of environmental sustainability, social responsibility, and ethical governance, by divesting from industries or entities that contribute to environmental degradation, human rights violations, or unethical practices, and redirecting funds toward sustainable and socially responsible alternatives.
- Scope
- All institutional investments, endowments, and financial portfolios
- Subsidiary and affiliate investment entities
- Partnerships with external fund managers, banks, or corporations
- Decisions regarding procurement, sponsorships, and corporate partnerships
- Goals
- Align investment decisions with the institution’s sustainability, ethics, and governance principles.
- Phase out investments in industries harmful to people or the planet (e.g., fossil fuels, arms manufacturing, tobacco, exploitative labor).
- Promote reinvestment in sustainable, ethical, and socially responsible ventures.
- Enhance transparency and accountability in all financial and investment activities.
- Support global climate and social justice efforts in line with the SDGs.
- Implementation Measures
- SRHU is committed to ethical investment practices that uphold environmental stewardship, human rights, and good governance.
- The University shall divest from companies or sectors that:
- Engage in fossil fuel extraction and production or have no clear transition plan.
- Are involved in arms trading, human rights abuses, or corruption.
- Produce or market tobacco, single-use plastics, or environmentally harmful products.
- Investment portfolios shall be periodically reviewed to ensure compliance with sustainability and ethical standards.
- Reinvestment shall prioritize renewable energy, green technology, circular economy initiatives, education, and community development.
- Strategic Actions
- Screening and Assessment
- Conduct Environmental, Social, and Governance (ESG) screening for all current and future investments.
- Identify and categorize investments that conflict with institutional values or SDG principles.
- Develop a divestment timeline to phase out harmful investments responsibly.
- Divestment and Reinvestment Process
- Establish clear criteria for divestment, including risk, environmental impact, and human rights records.
- Redirect divested funds into sustainable and ethical sectors, such as:
- Renewable energy and clean technologies
- Sustainable agriculture and green infrastructure
- Education, social enterprises, and community initiatives
- Collaborate with ethical investment partners to identify and monitor new investment opportunities.
- Transparency and Accountability
- Publish an annual report on investment activities, including divestment progress and reinvestment outcomes.
- Ensure stakeholder participation in decision-making, especially from students, staff, or shareholders.
- Disclose all investment holdings to maintain transparency and build public trust.
- Capacity Building and Advocacy
- Train finance and governance teams on sustainable investment principles.
- Promote awareness campaigns about the social and environmental impacts of unethical investments.
- Collaborate with government agencies, NGOs, and other institutions pursuing responsible investment initiatives.
- Screening and Assessment
- Monitoring and Evaluation
- Conduct annual ESG performance reviews of all investment holdings.
- Maintain a divestment registry documenting phased withdrawals and reinvestment actions by the concerned officer.
- Develop Key Performance Indicators (KPIs) such as:
- Percentage of portfolio aligned with SDG targets
- Amount divested from high-risk sectors
- Reinvestment in sustainable or social impact ventures
- Present progress reports to the Board and Sustainability Committee annually.
- This policy shall be reviewed every three years or earlier if required to accommodate new educational practices, regulatory requirements, or emerging student needs.
- The University reserves the right to interpret, alter, amend, modify, cancel, or withdraw any or all provisions mentioned herein above in this policy without any notice.
- In case of any dispute, the decision of the Vice Chancellor of the University shall be final and binding.
